You have to be very careful concerning the tax deductibility of donations to a Masonic Lodge. If the donation is for a 501 (c) (3) charitable purpose then it is. If the donation is for the operation of the Lodge then it is not.

You have to be very careful concerning the tax deductibility of donations to a Masonic Lodge.

Our tax system here in England is quite different from yours, but the same principle applies. We have to be careful to make clear at the point of collection whether it's for charity or general funds, and to count the monies for different purposes separately.

We also have to be careful that monies donated for charitable purposes really are spent on charitable purposes and don't get used for operating costs, which is a crime over here. (I expect it's probably a crime in the US too.) But of course, occasionally it has happened that a Treasurer gets sloppy and money gets mixed up, and then there's hell to pay.

If you guys own your building, don't be surprised if the Board is a 501 (c) (2) Title-Holding corporation in order to separate the building from the lodge from liability. Most lodges themselves are 501 (c) (10) Fraternal Organizations, which still allows tax-exempt status. Unfortunately donations to (c) (10)s are not able to deducted on one's tax return.

However, there are ways to make a (c) (3) work for you guys if you don't have one. Send me a PM and I can give you quite a few ideas.

I was chair of the committee that created a 501(c)3 to work with our Lodge and our Grand Lodge has a charitable foundation that works with the Grand Lodge as well. Fraternal Lodges can be classified as 501(c)8 or 501(c)10 depending on certain factors (one being how death benefits/insurance is paid out) but some corporations are only interested in donating to 501(c)3. Our charitable foundations are used to raise scholarship funds by working with organizations that donate to 501(c)3.

One example is working at our football stadium (Reliant) or basketball stadium(Toyota). They have nights when the organizations can work the parking lot, concession stands or as ushers during games and concerts and the stadium will make a donation to the charity instead of paying for labor. Very easy to raise $1000 to $2000 a night.

Glad I could be of service. Also I recall some restaurants have programs where you can pick a date and a portion of the profits for that date are donated to the charity. You plan the date out far enough in advance and get as many people as you can to attend the restaurant on that particular day, I recall that Sweet Tomato does this and so do a few other restaurants, as long as they are 501(c)3.

I would bet that most lodges are NOT 501 c3 but 501 c10. the difference is that the c10 is a Domestic Fraternal Society. The big thing is that the fraternal society is allowed to discriminate. By that I mean that we are allowed to not allow women to join. If we were a c3, there is a good chance that we would be forced to allow women to join.

Some PHA are probably even a 501 c8 which is a fraternal benificiary society. They have an insurance benifit.

Most are not c3, if any at all. Every Lodge I know (including mine) just sets up a charitable foundation that works with the Lodge but is a separate organization, bank accounts remain separate, different set of officers as well, on paper the members of the Lodge are members of the charitable foundation as well, but after Lodge elections, elections for the charitable foundation board of directors happen.

I would bet that most lodges are NOT 501 c3 but 501 c10. the difference is that the c10 is a Domestic Fraternal Society. The big thing is that the fraternal society is allowed to discriminate. By that I mean that we are allowed to not allow women to join. If we were a c3, there is a good chance that we would be forced to allow women to join.

Some PHA are probably even a 501 c8 which is a fraternal benificiary society. They have an insurance benifit.

26 U.S.C. § 501 : US Code - Section 501: Exemption from tax on corporations, certain trusts, etc. provides for the exemption different types of organizations with their own distinct qualification requirements. It does not in any way address or refer to any issue concerning discrimination of any kind.

Generally, only the five following types of organizations can be qualified organizations for the purpose of deducting charitable contributions.

1. A community chest, corporation, trust, fund, or foundation organized or created in or under the laws of the United States, any state, the District of Columbia, or any possession of the United States (including Puerto Rico). It must be organized and operated only for one or more of the following purposes.

a. Religious.

b. Charitable.

c. Educational.

d. Scientific.

e. Literary.

f. The prevention of cruelty to children or animals.

Certain organizations that foster national or international amateur sports competition also qualify.

2. War veterans' organizations, including posts, auxiliaries, trusts, or foundations, organized in the United States or any of its possessions.

Note.Your contribution to this type of organization is deductible only if it is to be used solely for charitable, religious, scientific, literary, or educational purposes, or for the prevention of cruelty to children or animals.

4. Certain nonprofit cemetery companies or corporations.

Note. Your contribution to this type of organization is not deductible if it can be used for the care of a specific lot or mausoleum crypt.

5. The United States or any state, the District of Columbia, a U.S. possession (including Puerto Rico), a political subdivision of a state or U.S. possession, or an Indian tribal government or any of its subdivisions that perform substantial government functions.

You cannot post new topics in this forumYou cannot reply to topics in this forumYou cannot delete your posts in this forumYou cannot edit your posts in this forumYou cannot create polls in this forumYou cannot vote in polls in this forum